Winning Stock Forecast: Destination Maternity Corp. Turns Management Around and Returns up to 161.73% in 3 Months

“I’ve failed over and over and over again in my life and that is why I succeed.” 

-Michael Jordan

(Source: Wikipedia)

Destination Maternity Corporation is a maternity apparel designer and retailer. Incorporated on October 23, 1980, the company operates over 1815 retail locations between the United States and England. The company also sells its merchandise through it’s Canadian website,, and through

On March 22nd, I Know First gave a bullish 3 month forecast for DEST. Over that 3 month period, DEST saw a return of up to 161.73%.

Why did DEST see such a tremendous return? It’s because they turned around management and are looking to head in a new direction.

Proxy Investors Elect New Board of Directors

Since 2011,  share price of DEST fell by up to 90%. So, on May 23rd, investors took control of the board of DEST and replaced all four directors. The new board adds diversity to the company as it includes the co-founder of Skullcandy, a clothing analyst, a retail executive, and an investor. Stockholders were satisfied and forward looking with this new board, as stock price rose 6.6%

New CEO Calls For a Different Direction

On May 30, Destination Maternity Corp. announced Marla A. Ryan will be taking the position of CEO. Ryan has great experience in the apparel and retail business. Formerly, she was the CEO of a Lola Advisers LLC, a apparel consultancy, and VP of J.Crew’s children apparel division. Ryan looks to focus on improving shareholder value, accelerate revenue growth, and improve profitability. Anne Windal, Chair of the Board of Directors, stated, The entire Board is confident in Marla’s experience and ability, and will work closely with her to drive growth, increase sales and help return the Company to its historic success and profitability. We believe that Marla is the ideal leader to drive immediate change at Destination Maternity.”

Fantastic Q1 Financials

Marla Ryan, Destinations new CEO as of May 30th, had a vision to turn around the company and the Q1 earnings show that this is starting to happen. Although sales dropped by 3.0%, e-commerce sales increased by 43%, SG&A decreased by 6.34%, EBITDA increased by 24.2%, EPS increased by 607.4%, and net income increased by over 80%. Ryan stated, “While I am encouraged by our progress, there is more work to be done to unlock the company’s full potential and improve our overall operating performance”. The company looks to move more to the online sector as retail locations lost 59 stores. Stock rose over 50% after this news was announced.

On March 22nd, I Know First gave a bullish 3 month forecast on Destination Maternity Corporation (NASDAQ: DEST). The Forecast shows a signal of 27.66  and a predictability of 0.23. In agreement with the forecast, DEST has returned 161.73% over the three month period, demonstrating the accuracy of the I Know First algorithm.


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Current I Know First subscribers received this bullish DEST forecast on March 22, 2018.

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